Super League In-Depth Analysis: HSBC Private Bank 2016

Summary
HSBC Private Bank is a brand used by HSBC's Global Private Banking division, which caters for customers with at least $5m in investable assets. The bank has been reviewing its strategy and consequently significantly reducing its international foothold, in 2016 closing private banking offices in markets including Brazil and Turkey. The HSBC brand has suffered from tax evasion investigations in a number of countries, and the bank's name was also widely mentioned in relation to the so-called Panama Papers scandal. The bank highlights that it has run business and processes reviews in its worldwide locations and is implementing procedures to improve compliance with regulations.

Key Findings
- HSBC Private Bank has an onshore presence in 19 territories across the world. The biggest market in terms of generated revenue is Europe.

- On a group level, HSBC Holdings is working to reduce its cost base. The private bank's financial performance is very much impacted by provisions and fines related to investigations run by regulatory bodies in several markets.

- Reflecting HSBC's strategy of reducing its international footprint, the value of the private bank's assets under management (AUM) has been decreasing since 2012. However, 2015 was the first year since 2011 with positive net inflows.

- HSBC Private Bank's services include traditional banking products, tailored lending, investment management, and planning services. The bank also leverages its commercial banking expertise to offer advice on business exit strategies.

Synopsis
Verdict Financial's “Super League In-Depth Analysis: HSBC Private Bank 2016” is a comprehensive analysis of HSBC's private banking operations. It offers insight into the company's strategy, financial results, and marketing activities. It also covers the bank's recent merger and acquisition (MandA) activity, customer targeting, and product innovation.

- Insight into HSBC Private Bank's growth strategy.

- Overview of the firm's organizational structure.

- Clear presentation of its geographical coverage and expansion strategy, including MandA activity.

- Analysis of the firm's financial performance at group and divisional level, including comparison to other global wealth managers.

- Examination of the key target client groups.

- Analysis of HSBC Private Bank's service and product proposition and how it is unique compared to its competitors.

- Review of HSBC's marketing and social media activities at group and divisional level.

Reasons To Buy
- Examine the financial performance and key ratios for HSBC Private Bank and benchmark this competitor against other global wealth managers.

- Explore HSBC Private Bank's recent MandA and growth strategies and their impacts on its AUM growth and financial performance.

- Understand HSBC Private Bank's client targeting strategies and examine whether these have been successful.

- Learn more about HSBC Private Bank's marketing strategy and social media presence.